It's fine to want to reform the union – I do too – but talk of an exit will be disastrous for the UK and weaken us all
Despite the ravages of the global economic crisis, Europe remains the world's principal trading bloc, its biggest economic power and an area of unparalleled democracy and freedom where the rule of law is upheld. It is worth remembering this when we consider the upheaval that has been taking place on our eastern borders in Ukraine with the EU flag flown proudly by many protesters.
I firmly reject those who claim that Europe's continued decline is inevitable. But I also believe that only by changing course now can we ensure our future and regain trust in the eyes of voters. What needs to change? Some 5.5 million young Europeans (nearly a quarter of all Europe's youth and more than half in Greece and Spain) have no work. Within the EU budget ceiling we must increase financial support for job-creation programmes while gearing all EU policies and funds towards the fight against youth unemployment.
We also need to strengthen the single market and extend it to key sectors not yet covered, such as the digital economy, transport and energy networks. We risk a race to the bottom in social standards. Some EU directives such as the rules on the posting of workers abroad are being used to lower wages and this has to stop. I would favour a European system of national minimum wages related to GDP in each member state as the best way to overcome the chronic problem in some countries of low pay and the "working poor".
Austerity is being applied so harshly by some governments that it is creating a social crisis and stifling economic growth prospects. Structural reforms in many of our economies are overdue and accumulating debt for future generations has no place on a progressive agenda. But it also makes sense to borrow for productive job-creating investment. I would propose that measures to boost investment in innovation and to lift educational standards should be excluded from the European commission's excessive deficit calculations. Governments that carry out high quality investment should be encouraged, not penalised.
Europe's future economic strength lies in smart reindustrialisation and investment in the new digital economy. To ensure that this transformation benefits European business and not just our competitors requires public support for major new infrastructure. I support the establishment of a trans-European electric network – an EU energy grid that allows states to share the energy they produce, guaranteeing security of supply and more leverage in international negotiations. This would be funded by EU budget guarantees and the European Investment Bank.
The scandal of corporate tax evasion is a Europe-wide problem depriving public finances in Europe of €1tn per year. This money is needed desperately for investment and to cut our deficits. I will put specific proposals on the table to fight VAT fraud, savings tax avoidance and to shed more light on tax havens and corporate taxation.
It's because I'm a convinced European that I believe the EU must undergo a radical transformation. I am standing as a Socialist to be the next president of the European commission because I wish to contribute to this change. But the commission itself needs reform. I would only place legislative proposals on the commission's agenda if I am convinced that national, regional or local authorities can't act more effectively. I will assign responsibilities to Commissioners according to priority areas where the lead is taken each time by groups of Commissioners working together. Where EU legislation hampers job creation or adds undue burdens for business, and particularly for SMEs, it must be recast or repealed.
The majority of people in the UK want change and reform of the EU. So do I. When David Cameron's government puts specific reform proposals on the table I will support them if they contribute to making the EU work better. The UK plays a big role in the internal market, in our new common foreign and security policy, in EU peacekeeping and in development aid. But Britain risks a lot by toying with exit in a referendum. The UK should be at the negotiating table when the EU and the US negotiate the largest multilateral trade deal of all time, a deal which would increase the size of the EU economy by around €120bn (or 0.5% of GDP) and the US by €95bn (or 0.4% of GDP) meaning each British family would save around £500 a year. Britain is better off in the EU and the EU is better off with Britain at its heart.
There is no doubt a reformed EU requires new leadership and courageous ideas. If not, the current generation of young people could be the first since the second world war to be worse off than the generation that went before it, undermining the European union's very raison d'être.
European commissionAusterityEuropean UnionEU referendumForeign policyEuropeMartin Schulztheguardian.com © 2014 Guardian News and Media Limited or its affiliated companies. All rights reserved. | Use of this content is subject to our Terms & Conditions | More Feeds |
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